🔗 Share this article How the Country Lost Interest in Its Craving for Pizza Hut At one time, Pizza Hut was the top choice for families and friends to indulge in its unlimited dining experience, help-yourself greens station, and make-your-own dessert. But fewer diners are visiting the brand nowadays, and it is shutting down half of its British restaurants after being rescued from insolvency for the second time this year. “We used to go Pizza Hut when I was a child,” says Prudence. “It was a tradition, you'd go on a Sunday – spend the whole day there.” Today, as a young adult, she says “it's no longer popular.” For a diner in her twenties, certain features Pizza Hut has been known and loved for since it started in the UK in the mid-20th century are now less appealing. “The way they do their buffet and their salad station, it seems as if they are cheapening on their quality and have lower standards... They're giving away so much food and you're like ‘How can they?’” As grocery costs have risen sharply, Pizza Hut's unlimited dining format has become very expensive to maintain. As have its outlets, which are being reduced from over 130 to 64. The company, like many others, has also seen its operating costs increase. In April this year, employee wages jumped due to higher minimum pay and an higher rate of employer national insurance contributions. A couple in their thirties and twenties say they would often visit at Pizza Hut for a date “every now and then”, but now they choose Domino's and think Pizza Hut is “not good value”. Depending on your selection, Pizza Hut and Domino's prices are comparable, notes an industry analyst. While Pizza Hut provides off-premise options through delivery platforms, it is missing out to big rivals which solely cater to this market. “The rival chain has succeeded in leading the takeaway pizza sector thanks to strong promotions and ongoing discounts that make shoppers feel like they're saving money, when in reality the base costs are relatively expensive,” explains the expert. However for the couple it is justified to get their evening together delivered to their door. “We definitely eat at home now instead of we eat out,” explains the female customer, echoing current figures that show a decrease in people going to quick-service eateries. Over the summer, quick-service eateries saw a 6% drop in customers compared to last summer. Moreover, one more competitor to restaurant and takeaway pizzas: the supermarket pizza. An industry leader, head of leisure and hospitality at a leading firm, points out that not only have grocery stores been selling high-quality oven-ready pizzas for a long time – some are even offering pizza-making appliances. “Evolving preferences are also having an impact in the success of casual eateries,” states Mr. Hawkley. The increased interest of protein-rich eating plans has driven sales at chicken shops, while affecting sales of dough-based meals, he continues. Since people visit restaurants more rarely, they may prefer a more upscale outing, and Pizza Hut's retro theme with vinyl benches and traditional décor can feel more old-fashioned than luxurious. The rise of artisanal pizza places” over the last 10 to 15 years, such as new entrants, has “fundamentally changed the public's perception of what good pizza is,” says the industry commentator. “A thin, flavorful, gentle crust with a few choice toppings, not the overly oily, dense and piled-high pizzas of the past. That, arguably, is what's led to Pizza Hut's decline,” she says. “Why would anyone spend a high price on a tiny, mediocre, unsatisfying pizza from a chain when you can get a gorgeous, skillfully prepared Margherita for under a tenner at one of the many authentic Italian pizzerias around the country? “It's a no-brainer.” A mobile pizza vendor, who owns a pizza van based in a county in England explains: “It's not that lost interest in pizza – they just want better pizza for their money.” He says his mobile setup can offer gourmet pizza at reasonable rates, and that Pizza Hut struggled because it failed to adapt with changing preferences. From the perspective of Pizzarova in a city in southwest England, the founder says the pizza market is expanding but Pizza Hut has not provided anything new. “There are now by-the-slice options, regional varieties, New Haven-style, fermented dough, traditional Italian, rectangular – it's a heavenly minefield for a pizza enthusiast to explore.” The owner says Pizza Hut “needs to reinvent itself” as newer generations don't have any sense of nostalgia or attachment to the company. In recent years, Pizza Hut's market has been fragmented and distributed to its more modern, agile alternatives. To sustain its costly operations, it would have to increase costs – which commentators say is challenging at a time when personal spending are tightening. A senior executive of Pizza Hut's international markets said the buyout aimed “to protect our guest experience and save employment where possible”. The executive stated its immediate priority was to maintain service at the remaining 64 restaurants and off-premise points and to help employees through the transition. However with so much money going into running its restaurants, it probably cannot to invest too much in its takeaway operation because the industry is “complex and partnering with existing external services comes at a expense”, experts say. However, it's noted, lowering overhead by leaving competitive urban areas could be a good way to adjust.